Harrogate District Local Plan: Visitor Accommodation Study
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Harrogate District Local Plan: Visitor Accommodation Study
Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council
Contents
1. Introduction 3
2. Methodology 5
3. Tourism Context 7
4. Policy Context 12
5. Analysis 16
6. Policy Recommendations 21
Appendices
1. Visitor Accommodation in Harrogate
24
Town May 2013
2. Visitor Accommodation Outside
28
Harrogate Town May 2013
3. Harrogate District Visitor
Accommodation Study 33
Questionnaire June 2014
4. Results of Visitor Accommodation
40
Questionnaire
5. Visitor Accommodation Gains since
46
May 2004
6. Visitor Accommodation Losses
52
since May 2004Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 2
Introduction 1Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 3
Introduction 1
(1)
1.1 A Visitor Accommodation Study was published by the council in May 2011 and
(2)
formed part of the evidence base for the emerging Sites and Policies DPD . The
2011 study produced a number of policy recommendations on the need and extent of
a tourism protection policy and the need to allocate land for hotel development in
Harrogate Town.
1.2 The Council is producing a new Local Plan for the district which will set out the growth
strategy for the district and include allocations of land to deliver the strategy plus
policies to manage development. It is necessary therefore to review the Visitor
Accommodation Study to feed into the evidence base for the new Local Plan.
1.3 Visitor and business tourism is an important part of Harrogate District’s economy. The
tourism industry covers a huge variety of services, facilities and supporting industries
including bars, restaurants, hotels, guest houses, leisure facilities, cultural venues,
cleaning facilities and tourist attractions, most of which also act as a beneficiary to the
local residents. The quality of these facilities and offers, together with the high quality
of Harrogate’s Spa Town built environment with a large amount of natural beauty
shortly away, is an attractive option for tourists and business visitor alike.
1.4 Business tourism, particularly conferences and exhibitions, has been a prominent
feature of Harrogate since the post war period. A purpose built conference centre was
completed in 1982 and the conference and exhibition business has grown to a point
where Harrogate is a leading European destination and the facilities at Harrogate
International Centre are amongst the largest in the UK. Over the years significant and
regular public sector capital investment has been made to support and develop this
sector. Today, conferences and exhibitions held in the town centre of Harrogate attract
over 200,000 visitors each year. The total expenditure by visitor and organisers of
events amounts to some £180 million, which supports about 7000 jobs in the local
economy. The health of the visitor and business tourism industry is therefore important
to the continued vitality and viability of the District’s towns and villages and the
communities that live and work here.
1.5 Visitor accommodation plays a central role in attracting visitors to the district and there
is a wide range of sizes, types and quality provided. They provide comfortable,
convenient and safe overnight accommodation to tourists and visitors to conferences
and exhibitions and therefore represent an important support service to the visitor and
business tourism industry. At peak times however, it can be difficult to accommodate
all business visitors within establishments in Harrogate’s town centre and therefore all
the more important to maintain the existing supply of visitor accommodation within
Harrogate town centre and the need to take measures to increase supply.
1.6 The Harrogate District Core Strategy was adopted by the Council in February 2009
and includes the objectives of protecting and enhancing the Districts town centres,
conference, business and holiday tourism and in particular Policy JB1 places emphasis
on maintaining and enhancing the competitiveness of Harrogate’s conference and
business tourism sector as well as developing sustainable holiday tourism throughout
the District and enhance it as a year round activity. Policy JB2 looks to both resist
proposals that would undermine the conference and business tourism sector generally
and specifically to protect existing hotel bed space and increase provision in Harrogate
town centre where appropriate.
1 The term ‘visitor accommodation’ is used in this study to describe hotels, guest houses, bed & breakfasts and
Inns. This study does not cover other types of visitor accommodation such as serviced apartments, self-catering
accommodation, camping or caravan sites and holiday chalets.
2 The Sites and Policies DPD was withdrawn on 18 June 20144 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
1 Introduction
1.7 The purpose of this updated study is to:
Identify and classify existing visitor accommodation in the district;
Consider the key economic, social and environmental drivers that influence
demand for visitor accommodation in the district;
Assess the current and likely future demand for visitor accommodation;
Review recent planning application history to determine the effectiveness of
existing local planning policies;
Determine an appropriate size threshold of establishment offering visitor
accommodation to offer policy protection; and
Establish whether the policy recommendations from the 2011 study are still
relevant
1.8 The desired outcomes of the work are policy recommendations on:
The potential for further hotel development in Harrogate town; and
The appropriate policy response to the retention and protection of the district’s
existing stock of hotels in support of the visitor and business tourism industryHarrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 5
Methodology 2
Review of Visitor Accommodation Supply
2.1 In order to develop a picture of the current supply of visitor accommodation in the
District the Accommodation List published annually by the Harrogate Tourist Information
Centre (TIC) was used in the 2011 Study as the basis for developing a list of
accommodation. This list was updated to 2014 using the 2013 Accommodation List,
a search of the Internet, direct contact with establishments and officer knowledge of
new developments. This enabled an up to date record of available serviced
accommodation in the District to be compiled. It should be noted that whilst this list
identifies the vast majority of establishments, there are likely to be additional small or
part time B&Bs and guest accommodation that are not included. Two lists were
developed, one containing information on establishments located in Harrogate Town
and another for businesses located outside of the town. Each of the lists record
information on the number and location of establishments and size of establishments
by number of bedrooms (full details can be found in Appendices 1 and 2).
Visitor Accommodation Questionnaire
2.2 As with the 2011 Study, questionnaires were sent to businesses offering visitor
accommodation within the District (150 in total) which asked for information relating
to the characteristics of the tourism industry in Harrogate, details about the respondents
business and opinions on the current Local Plan Policy TRX. These range in size from
B&Bs offering a handful of rooms to large chain hotels with over a hundred rooms and
a wide range of supporting facilities.
2.3 The questionnaire sought the views from existing businesses offering visitor
accommodation in the district on:
How they viewed the visitor and business tourism industry;
What they believe are the most important factors to developing the industry;
Whether they feel there is a need to increase visitor accommodation;
Whether the existing Local Plan Policy TRX
2.4 As in 2011, two versions of the questionnaire were developed. One containing
additional questions relating to the operation of the respondents business was only
sent to establishments with 10 or more bedrooms. A copy of the longer questionnaire
can be found in Appendix 3. Businesses were given 3 weeks to respond to the
questionnaire and the results can be seen in Appendix 4.
Review of Planning History
2.5 As part of the 2011 study, a review of planning applications relating to visitor
accommodation was undertaken. This identified development that had either increased
or decreased the availability of visitor accommodation in the District. The 2011 study
looked at applications that were granted planning permission between May 2004 when
Policy TRX came into force and July 2011. A review of relevant applications since the
2011 study has now been undertaken to give a comprehensive list of applications from
May 2004 to the present day.
2.6 Two tables have been created, the first containing information on applications granted
planning permission for either the development of new, or expansion of existing visitor
accommodations (Appendix 5). This table also contains information on applications
granted permission for the development of supporting facilities such as restaurants,
bars, gyms, spas etc The second table contains information on applications granted
planning permission for development that have resulted in the loss of visitor6 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
2 Methodology
accommodation (Appendix 6). It should be noted that there may be some cases where
works internal to the hotel have taken place that have resulted in a reduction in the
number of bed spaces offered but did not require planning permission. The information
gained from the planning history review will help to determine whether Policy TRX has
been successful in its aim of protecting hotels with 30 or more bedrooms from a change
of use.Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 7
Tourism Context 3
3.1 This section provides a review of relevant national, regional and local reports on trends
in the tourism industry in order to provide some context to the study. Some of these
have not changed since the 2011 study
The Economic Case for the Visitor Economy
3.2 Commissioned by Visit Britain and the Tourism Alliance, Deloitte’s report The Economic
Case for the Visitor Economy, published in 2008 provided an in-depth analysis of the
contribution of the visitor economy in Britain. Although it is now 6 years old and the
figures provided within are potentially out of date, the main conclusions made are still
relevant now.
3.3 The UK is attractive as a cultural, environmental and heritage destination. The report
highlights both the direct economic impact of the visitor economy on the UK and also
the significant indirect impact on related industries and investment decisions. The
visitor economy has a number of spill over benefits to other sectors of the economy
such as retail and manufacturing. This report also highlights a number of
social-economic policy areas that are also affected by the visitor economy, namely
Economic and social inclusion – the visitor economy offers job opportunities to
those with relatively low or no skills, a vital first step on the jobs ladder, and
subsequently provides on the job training opportunities to up-skill employees.
The visitor economy can therefore help to reduce unemployment and boost
employment opportunities. Only retail and construction industries employed more
workers with no qualifications in Great Britain. On average the visitor economy
employ more part time (over 50%) workers than the national all industry
average(30%). Also the visitor economy offers proportionally higher numbers of
part time female workers (33%) compared to the industry standard (23%).
Enterprise and business formation - there is evidence of strong entrepreneurial
activity in the visitor economy with one of the highest level of business creation
across all sectors (11.5% of all UK business registrations in 2006, and 13% of
the total net change in businesses taking account of de-registrations), due in part
to the limited barriers to entry compared to other sectors. New restaurants and
hotels accounted for 46% and 37% respectively of all new businesses in the
Visitor Economy in 2006.
Sustainable development - there is a disproportionate contribution to rural and
coastal areas, often with evidence of strong local supply chains in these locations.
Regeneration - tourism has been the catalyst for wider regeneration in a number
of urban areas (e.g. Salford Quays and the Eden Project). However, visitor
economy driven projects carry a degree of risk in the assumption that new visitors
will be attracted by what is being offered.
Heritage - the visitor economy can provide a source of income needed to cover
the continuing costs of conservation and renewal of cultural and natural assets.
However, this has to be balanced with the need to protect assets from potentially
harmful impacts that can be caused by a high number of visitors.
3.4 Yorkshire is estimated to have contributed in the order of £2.6 billion to UK Gross
Domestic Product (GDP) in 2007, accounting for 2.6% of regional GDP. This figure
was comparatively low compared to the North West region (£4.7 billion and 3.4% of
regional GDP) but higher than other adjoining regions, the East Midlands (£3.2 billion
and 2.3 % of regional GDP) and North East (£1.1 billion and 2.2 % of regional GDP).8 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
3 Tourism Context
3.5 The report found that generally, the more rural a local authority, the greater the reliance
on visitor economy related industries. A ranking of English authorities in 2006 by the
percentage of tourism related industries in the area had Harrogate ranked number 40,
with 12.1% tourism related industries.
3.6 Tourism also traditionally experiences seasonal peaks and troughs related to rigid
holiday periods and the weather. The report suggests that seasonal effects are not as
pronounced as they once were because of an increase in city based trips, however
this still poses challenges for tourism in rural areas.
3.7 The report emphasises that it is important to ensure that the environmental impact of
tourism in rural areas is limited and managed in a sustainable way and that there is a
potential impact between increased visitor numbers and sustainable tourism. The
report also identifies a number of further policy barriers to the expansion of the visitor
economy, these included the following factors which are particularly relevant at the
district level:
Transport infrastructure - the capacity and quality of transport infrastructure as
well as service provision has a significant impact on the visitor economy.
Climate change legislation - the sustainability of the visitor economy is clearly
dependent on travel. Climate change legislation is also likely to change the nature
of the product being offered in response to consumer demand although this may
also be accompanied by a price premium that reduces the potential demand for
such products.
World Tourism Council
3.8 According to the World Tourism Council in their research “Importance of tourism in the
UK – the economic contribution – 2011”, travel & tourism’s total contribution to GDP
in the UK in 2011 was £101 billion, or 6.7% of total GDP. This compares to 2.3% for
automotive manufacturing, 1.9% for mining and 4.1% for chemicals. Furthermore,
there are estimated to be approximately 2.3 million direct and indirect jobs in the UK.
In fact, travel & tourism directly supports nearly as many jobs as the financial service
sector in the UK.
3.9 This research also showed that travel & tourism’s contribution to GDP increased faster
than most other sectors in the UK. It is predicted to grow by 4.1% over the next ten
years, a faster growth rate than the total economy. It is also worth highlighting that
travel & tourism is a significant source of exports for revenue for the UK. In 2011, visitor
exports totalled £25 billion which was 13.2% of all service exports and 5.1% of all
exports including goods and services.
3.10 This research also compared the effect of travel & tourism spending on GDP and the
wider economy and concluded that for every £640,000 spent on Tourism, the following
is generated:
£830,000 in GDP (same impact as the financial services and communications
sector)
£76,000 of gross value added in the real estate sector
£86,000 of gross added value in the wholesale and retail sector
Support of 18 jobs, compared to 13 in financial, 12 in the communications sector
and 11 jobs in car manufacturingHarrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 9
Tourism Context 3
The Economic Contribution of the Visitor Economy – UK and the Nations
3.11 Commissioned by Visit Britain and the Tourism Alliance, Deloitte’s report The Economic
Case for the Visitor Economy, published in 2008 was updated in September 2009 and
again in 2013. It provides an in-depth quantitative and qualitative analysis of the annual
contribution of the Visitor Economy to the UK and its nations.
3.12 Nationally tourism directly contributed £58 billion or 4.1% of Gross Domestic Product
(GDP) to the economy and supported over 1.74 million jobs in 2013 (5.4% of the total
UK workforce). The report indicates that England accounts for £48.3 billion of this
contribution to GDP with a proportionally larger number of employees in the visitor
economy (1.44 million or 5.2% of total employment in England).
3.13 There were also significant indirect impacts of the visitor economy on the wider economy
through interaction with suppliers of goods and services to the visitor economy, capital
investment and government expenditure. The total direct and indirect contribution
being in the region of 9% of GDP or £127 billion, and 3.12 million jobs (8.5% of the
workforce) in 2013.
3.14 Visits to small towns and the countryside/villages accounted for approximately 37%
of the contribution to GDP of domestic visitors, compared to large cities/towns (42%)
and seaside destinations (21%).
3.15 Total spending in the visitor economy is estimated to have been £113 billion in 2013,
up from £100bn in 2011 and £90bn in 2009. The report estimates total domestic
spending in the visitor economy to have been £89 billion in 2013, this is significantly
larger than the estimated £24 billion spent by international visitors. Day trips for leisure
are by far the largest component of domestic expenditure in the visitor economy,
spending in the region of £60 billion in 2013. Domestic overnight trips of one or more
nights represent the second largest expenditure at around £24.4 billion in 2013.
3.16 The direct contribution of tourism is expected to remain broadly stable in 2014 at £61.1
billion (4.2%) and 1.8 million jobs (5.5% of employment). Over the medium term, the
tourism economy’s direct contribution is expected to increase as a share of GDP to
4.4% in 2020 and 4.6% in 2025. The proportion of UK employment directly supported
by tourism is forecast to increase to 6% by 2025 to almost 2.1 million
Welcome to Yorkshire
3.17 Welcome to Yorkshire is the regions tourist board and produces a wide range of useful
statistics on the benefit of tourism to the Yorkshire & Humber region and of trends in
the tourist industry. Below is a selection of the information available on their website
http://www.yorkshire.com/ that provides a good backdrop to this study:
Since 2009, the visitor economy has grown from 5.6bn to 7bn and an additional
4,000 jobs have been created;
The county’s industry employs almost quarter of a million people;
216 million visits to Yorkshire are made each year which is more than Walt Disney
Attraction Theme Parks;
Yorkshire & Humber attracts 15 million overnight staying visitors (Equivalent to
48 million nights) in the region every year worth nearly £2.6 billion to the economy;
Oversees visitors contribute a further 3.2 million trips (13 million nights) and
generate £637 million of spend a year;
Day visits make up the largest proportion of the Yorkshire & Humber Tourism
economy, worth £3.9 billion to the region every year with over 194 million visitors;10 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
3 Tourism Context
Business trips represent a significant proportion of the tourism market, making
up 19% of all overnight trips in the region and accounting for a quarter of all visitor
spend, equivalent to 31.6 billion a year;
Yorkshire provides a choice of over 4,868 hotels, guest houses, self-catering units
and campsites.
3.18 In 2009 research undertaken by Welcome to Yorkshire identified that the region
contained 4,778 hotels, guest houses, self catering units and campsites. Serviced
accommodation accounted for over half of these establishments (2,551 establishments)
providing 35,768 rooms and 72,570 bed spaces. Travel by car was identified as by far
the most dominant form of transportation to the region with 84% of visitors using this
form of transport compared to only 8% using the train and 4% using a public bus or
coach service. This research also highlighted the scenery and appearance of the
countryside as the most enjoyable aspect for staying visitors.
3.19 Welcome to Yorkshire’s Regional Serviced Occupancy survey from June 2009 suggests
that the Harrogate District maintained a slightly higher room occupancy (65.9%) and
bed occupancy (52.6%) than the regional averages (63.4% and 45.6% respectively).
This suggests that Harrogate enjoys a comparatively strong position with regards to
room and bed occupancy and thereby a relatively buoyant hotel market. High occupancy
rates can be an indication of local hotel need if it results in turnaway trade. The average
length of stays in Harrogate District was 1.9 nights and 19.5% of total stays in the
district were on business. Room occupancy in Harrogate Town was higher than the
District average at 67% and the proportion of stays resulting from business trips were
also higher at 33.2% in 2009.
Tourism and the District Economy
3.20 The historic roots of Harrogate town as a Spa during the Victorian and Edwardian
periods and its growth and development has gone hand in hand with that of the tourist
industry in the district. In 2014 there were 6,890 (full time equivalent) jobs in
accommodation, food and recreation in Harrogate District.
3.21 Conference and business tourism is a key driver of the district economy, a major source
of direct and indirect employment and a key attractor of investment into Harrogate
town centre. The Harrogate International Centre (HIC) is one of the UK’s largest
integrated conference and exhibition facilities and the Yorkshire Showground is home
to the UK’s premier agricultural show and a key regional venue for outdoor events and
exhibitions. In 2012/13, HIC opened its doors to around 200,000 visitors which in turn
brought an estimated £180m into the local economy. A number of hotels in the district
also provide conference space and meeting rooms, ranging from between approximately
2,400 sqm in total at the Majestic Hotel and 550 sqm at the Crown Hotel.
3.22 The importance of conference and business tourism is recognised by the council in
the support given to the HIC and Yorkshire Showground in the Core Strategy and
Economic Strategy. Harrogate Borough Council has continued to invest in the HIC
with the aim of sustaining and growing this key part of the local economy. Over the
last few years, the HIC has seen a multi-million pound programme of improvements,
with the development of a new 1,600 square metre exhibition hall.
3.23 Vital to the continued success of the HIC and the Yorkshire Showground is the
availability of a sufficient volume, range and quality of visitor accommodation in the
district, and in particular within Harrogate Town itself. The HIC has reported lost
conference trade in the past as a result of the deficiencies in accommodation (although
this is also attributable to a number of other factors including the town’s transport linksHarrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 11
Tourism Context 3
with the rest of the UK). Therefore hotels and other types of serviced accommodation
are an essential ingredient to the performance of the local economy and are also, in
themselves, a major source of employment in the district.12 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
4 Policy Context
National Planning Policy Framework (NPPF)
4.1 Published in March 2012, the National Planning Policy Framework (NPPF) sets out
the Government’s planning policies for England and how these are expected to be
applied and is the main policy document in relation to Tourism. It supersedes the
previous ‘Government Tourism Policy’ and the ‘Planning Policy Statement 4: Planning
for Sustainable Economic Growth’.
4.2 Sustainable development is at the heart of the NPPF and planning is defined as having
an economic, social and environmental role to play in ensuring this:
economic role - contributing to building a strong, responsive and competitive
economy, by ensuring that sufficient land of the right type is available in the right
places and at the right time to support growth and innovation; and by identifying
and coordinating development requirements, including the provision of
infrastructure;
social role – supporting strong, vibrant and healthy communities, by providing
the supply of housing required to meet the needs of present and future generations;
and by creating a high quality built environment, with accessible local services
that reflect the community’s needs and support its health, social and cultural
well-being;
environmental role – contributing to protecting and enhancing our natural, built
and historic environment; and as part of this, helping to improve biodiversity, use
natural resources prudently, minimise waste and pollution, and mitigate and adapt
to climate change including moving forward to a low carbon economy.
4.3 Tourist facilities, including hotels are identified in the NPPF as a main town centre
use. The NPPF provides that main town centre uses including hotels, leisure facilities
and arts, culture and tourism development should be focused in existing centres and
that local plans should assess the need for further expansion of such uses and if
appropriate, allocate a range of suitable sites to meet the scale and type of development
needed in town centres.
4.4 When determining planning applications for main town centre uses, including the
development of tourist facilities and hotels, the NPPF stipulates that local planning
authorities should apply the sequential test in that applicants must demonstrate that
there are no sites more centrally located than that being proposed. The purpose of
the test is to direct tourist and leisure development towards locations best served by
transport infrastructure and other supporting facilities. For leisure applications outside
town centres, the applicant must demonstrate that the proposal will not have a significant
adverse impact on recognised centres. These tests also need to be satisfied where
a local planning authority wishes to allocate sites within their development plan for
tourist facilities or hotels.
4.5 In terms of planning for tourism in rural areas, the NPPF stipulates that local Plan
policies should support sustainable rural tourism and leisure developments that benefit
businesses in rural areas, communities and visitors and which respect the character
of the countryside. This includes supporting the provision and expansion of tourist
and visitor facilities in appropriate locations where identified needs are not met by
existing facilities in rural service centres.Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 13
Policy Context 4
Harrogate District Local Plan
4.6 Policy TRX Hotel Protection of the Harrogate District Local Plan (Selective Alteration,
May 2004) provides that changes of use to hotels with 30 or more lettable bedrooms
will not be permitted in Harrogate town unless clear evidence is provided to demonstrate
that they are no longer viable for use as such for three years. For hotels of a similar
size elsewhere in the District the time frame for evidence is reduced to two years or
where it can be demonstrated that there will be no significant adverse impact on the
supply of visitor accommodation available in the area.
4.7 Applicants proposing development that would result in a loss of a hotel with 30 or more
bedrooms are required to show that the property has been effectively marketed at its
existing use value for at least a year. In addition, evidence is also required of occupancy
rates for at least three years and of capital expenditure for 5 years in order to
demonstrate non-viability.
4.8 The policy was developed in response to a decline in serviced accommodation in
Harrogate town and increasing pressure to change the use of hotels and guest houses
to residential properties. The supporting text to Policy TRX states that the volume of
accommodation in Harrogate reached a historic low figure in 2001 of 1,880 rooms
compared to 2,320 rooms in 1995. At the time the policy was developed there was
also concerns being expressed by clients of the HIC that the level of accommodation
available may not be adequate to sustain larger conferences and exhibitions.
Harrogate District Core Strategy
4.9 The Core Strategy was adopted by the Council in February 2009 and provides the
strategic policy context for the district up to the year 2021 and beyond. The Core
Strategy contains a number of policies that relate to tourism development, the following
are of particular relevance to this study:
Policy JB1: Supporting the Harrogate District Economy seeks to maintain and
enhance the economic role of the district seeks to maintain and enhance the
economic role of the District and support innovation and enterprise with regards
to developing sustainable holiday tourism throughout the district and enhance its
year round activity.
Policy JB2: Conference and Business Tourism looks to support conference and
business tourism industry by resisting proposals which would undermine the
industry to the detriment of Harrogate town centre, protecting hotel room space
and increasing hotel provision in Harrogate town centre.
Policy JB4: Retail and Town Centre Development provides that the role of
Harrogate town as a Sub Regional Town will be reinforced through, amongst
other measures, enhanced hotel provision. The policies supporting text adds that
additional hotel accommodation within the town centre will be supported to assist
business and holiday tourism sector.
2011 Visitor Accommodation Study
4.10 The 2011 Visitor Accommodation Study recommended that a planning policy similar
to the current Local Plan Policy TRX should be retained and that the threshold should
be lowered to protect establishments with 25 or more lettable bedrooms in order to
offer some protection against the loss of these establishments. It also recommended
that this policy should also encourage existing establishments to expand and improve,14 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
4 Policy Context
particularly if they are in sustainable locations. The study indicated that there was no
specific need to identify land for the development of new visitor accommodation within
Harrogate town.
Visit Harrogate Strategy
4.11 Visit Harrogate was set up in 2013 to support businesses, conferences and tourism
in Harrogate and the surrounding area and to provide a way for businesses in the
Harrogate district to get involved and work together.
Economic Development Strategy
(3)
4.12 The Strong Local Economy Strategic Action Plan 2012-2015 sets out the actions
Harrogate Borough Council will take to generate wealth, investment and jobs for the
district. Growing the visitor economy is one of the priorities of the plan and the following
strong local economy goals and/or actions are identified:
Sustain the Harrogate International Centre as one of the leading UK large event
venues;
Increase the contribution of tourism to the local economy;
Improve the quality of the visitor experience;
Attract a larger market share of the national and regional tourism market;
Lobby for investment in transport;
Encourage the growth and sustainability of different sectors in the district’s
economy;
Promote investment in infrastructure and the physical environment;
Promote and support sustainable and responsible tourism.
4.13 The strategy highlights the importance of tourism to the local economy stating that it
in 2012 there were over 7.5 million visits made to the District, generating over £310
million in visitor spend. There were circa 7,000 jobs in accommodation and food
services accounting for over 9% of total employee jobs in the district compared with
an average of 6% across Yorkshire and the Humber.
4.14 The local economy, particularly in the urban core, is dependent upon the visitor spend
generated by business and holiday tourism. It is crucial therefore that, together with
sector partners, the council meet the challenge of marketing the Harrogate district as
a visitor destination and maintain Harrogate International Centre’s place in the UK
conference and exhibition market through sustained long-term investment. (HBC
Corporate Plan 2011/2014)
4.15 The Tourism sector, both leisure and business, is critically important to the local
economy. In 2009 there were almost 9 million trips made to the district, generating
£448 million in visitor spend, equating to a Gross Value Added impact of £280 million,
and supporting over 14,500 jobs. Leisure and Business Tourism represented around
25% in value of the district’s economy, with Leisure Tourism representing 43% of
overall visitor spend. (Regional Visitor Survey 2009 – Yorkshire Forward).
4.16 Key strengths of the Harrogate economy are identified including: the quality of the
environment; positive perceptions of Harrogate as a place to live, work and visit; the
new exhibition halls at HIC; the leisure tourism offer; the establishment of ‘Visit
Harrogate’; and the quality of cultural venues and facilities. However, a number of
3 For more information please visit
http:/www.harrogate.gov.uk/edu/Documents/2014-2015%20Year%203%20HBC%20A%20Strong%20Local%20Economy%20Action%20Plan,%20FINAL%2014.5.14.pdfHarrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 15
Policy Context 4
weaknesses in the economy are also highlighted within the strategy including the
relatively poor and under pressure transport networks and the need to fully develop
and promote the district’s tourism offer and products.
4.17 As can be seen from the goals and actions of the Strategy, there is a strong focus on
consolidating and developing the tourist and leisure economy in the district. There is
also the recognition that in order to attract more visitors to the district more will need
to be done to improve supporting facilities such as transport networks, infrastructure
and services. The availability of visitor accommodation in sufficient volume and quality
will also be key to achieving these long-term aims for the district’s economy.16 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
5 Analysis
Review of Visitor Accommodation Supply
5.1 Table 1 below provides a breakdown of the supply of visitor accommodation in the
district by size of establishment. The table is based on an analysis of the two lists of
accommodation contained at Appendix 1 and 2 of this study and includes the supply
of rooms from hotels, guest houses, B&Bs and Inns in the district. The table
distinguishes between supply in Harrogate town and in the rest of the district.
Table 5.1 Harrogate District Bedroom Stock 2014 (figures in brackets are 2011 study figures)
ESTABLISHMENT SIZE 1-10 11-20 21-30 31-40 41-50 51-100 101+ Total
(NUMBER OF ROOMS)
HARROGATE TOWN
Establishments 37 13 4 0 2 6 5 67
(42) (16) (1) (0) (4) (6*) (5 *) (74)
Rooms 228 185 107 0 90 483 769 1861
(232)
(262) (26 but (0) (172 but (384) (869) (1945 but
should should should read
read 47) read 130) 1924)
Percentage 12% 10% 6% 0% 5% 26% 41% 100%
REST OF THE DISTRICT
Establishments 60 11 3 5 1 1 2 83
(65) (12) (2) (6) (2) (0**) (2) (89**)
Rooms 258 151 81 175 44 90 312 1111
(265) (159) (57) (210) (93) (0**) (312) (1096**)
Percentage 23% 14% 7% 16% 4% 8% 28% 100%
HARROGATE DISTRICT TOTAL
Establishments 97 24 7 5 3 7 7 150
(107)
(28) (3) (6) (6) (6) (7) (163)
Rooms 486 336 188 175 134 573 1081 2973
(527) (391) (83 but (210) (265 but (384) (1181) (3135 but
should should should read
read 104) read 223) 3020)
Percentage 16% 11% 6% 6% 5% 19% 37% 100%
Harrogate Town
5.2 In total the study identified 67 establishments in Harrogate town offering serviced visitor
accommodation. The majority of these establishments are smaller scale guest houses
and B&Bs. However, the smaller number of larger hotels supply a greater share ofHarrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 17
Analysis 5
the total number of bedrooms in the town, with 19% of establishments (13 in total)
each providing over 40 bedrooms containing 72% of the total bedroom stock in the
town (1342 rooms). The threshold for protection of establishments with 30 or more
lettable bedrooms offered by Local Plan Policy TRX currently offers protection against
the loss of these 13 establishments in Harrogate town.
5.3 Since the 2011 study, there has been a loss of 63 bedrooms in total in Harrogate town.
49 of these rooms are through closure of establishments (7 in total) and 14 can be
attributed to changes within the number of rooms provided by individual establishments.
This loss amount to 3% of the total bedroom stock.
5.4 As in 2011, the majority of rooms provided in the town are double and twin rooms with
single rooms and family rooms making up a smaller proportion of rooms. However, it
should be noted that there is often flexibility in the configuration of rooms, with a number
of establishments stating families can often be accommodated in double or twin rooms
and that double and twin rooms are often interchangeable. Approximately two thirds
of establishments had a 3 start rating and only a handful of businesses had no
accreditation.
5.5 It should be noted that whilst Table 1 does not take into account serviced apartments,
this type of accommodation is expanding in Harrogate town with several operators
now offering high quality apartments to the short term let market. This type of
accommodation can be particularly attractive to business visitors and families as they
offer comfort, size and flexibility.
Rest of the District
5.6 The study identified a further 83 establishments offering serviced visitor accommodation
across the rest of the district outside of Harrogate town. 72% of establishments outside
of Harrogate town have less than 10 bedrooms and comprise 23% of the bedroom
stock available. 63% of the total bedroom stock in the rest of the district (702 rooms)
is provided by only 11% of establishments ( 9 in total) offering 30 or more rooms each.
5.7 Similar to arrangements in Harrogate town, the majority of rooms recorded were double
and twin rooms with family rooms and single rooms making up a smaller proportion.
Approximately one third of establishments outside of Harrogate town have a 4 star
rating and another one third have a 3 star rating, from Visit Britain or the AA. A larger
proportion of businesses had no accreditation than was the case in Harrogate town.
5.8 Since 2011, there has been a net loss of 6 establishments however due to changes
in existing hotels and four new establishments; there is actually a gain of 15 bedrooms
since 2011.
Harrogate District Total
5.9 In total, the review of visitor accommodation supply in the district has identified a total
of 150 establishments offering 2973 bedrooms to the market. The vast majority of
these establishments (97 establishments and 67% of the total) are guest houses, inns
and B&Bs with less than 10 lettable rooms. These smaller establishments provide
16% of the Districts total bedroom stock. By comparison there are only 22
establishments (15% in total) in the District that contain 30 or more bedrooms. However,
these establishments provide 66% of total supply of bedrooms in the district (1963
rooms).18 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
5 Analysis
5.10 Table 2 below identifies the supply of serviced visitor accommodation within the district's
main settlements. Although there have been changes in the number of establishments
and rooms and the distribution since 2011, the overall pattern of provision remains
stable. The table highlights that the majority of the district's total bedroom stock is
located within Harrogate town. The level of supply within the 4 other market towns in
the district and the City of Ripon is substantially lower by comparison but this reflects
both the comparative sizes of these settlements and the level of services and facilities
available for visitors in Harrogate town, but also the impact of the exhibition and
conference industry in Harrogate town.
Table 5.2 Visitor Accommodation by Location 2014 (2011)
Establishments Rooms % of Rooms
Harrogate Town 67 (74) 1861 (1924) 64 (62%)
Knaresborough 10 (12) 78 (79) 3 (2.5%)
Ripon 14 (13) 135 (141) 5 (4.5%)
Boroughbridge 1 (1) 35 (35) 1 (1%)
Masham 7 (3) 99 (47) 3 (1.5%)
Pateley Bridge 6 (4) 42 (22) 1 (0.5%)
Larger Villages 11 (18) 118 (117) 4 (4%)
In the countryside 34 (38) 594 (749) 20 (24%)
District Total 150 (163) 2972 (3135) 100%
5.11 Outside of Harrogate town, 20% of the total bedroom stock in the district is located in
the countryside away from the main built up areas. This compares to only 17 % of the
total rooms identified being located outside of Harrogate town but within one of the
district’s other market towns, the City of Ripon or a large village.
Analysis of Questionnaire Responses
5.12 The questionnaire received seven responses ( a response rate of 4.6%) which compares
to 25 which were received for the 2011 study. Those received were from a variety of
type and size of establishment. Although a very low response, this does not diminish
the validity of the views obtained.
5.13 In summary, the results of the questionnaire were as follows:
The seven establishments that responded to the questionnaire comprised of two
hotels, three guest houses and two B&Bs supplying a combined total of 103
bedrooms to the market. The businesses varied in size from four bedroom B&B
to one hotel with 48 bedrooms.
The quality of the district’s natural and built environments were identified as the
most important factors contributing to the attractiveness of Harrogate as a visitor
destination just as it was for the 2011 study. However, there was little difference
between the average scores of all of the factors that respondents were asked to
rate suggesting that all are important to making a successful destination. TheHarrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 19
Analysis 5
availability of parking was also highlighted by one respondent as an important
factor that affects the district’s tourist market.
Marketing, transport infrastructure, and the availability of accommodation were
identified as the most important challenges to the tourism market in Harrogate.
All respondents were optimistic about the prospects of the tourism industry in
Harrogate over the next 5-10 years.
Responses to the question about whether there is room for further growth in visitor
accommodation in Harrogate was mixed with 57% responding ‘Yes’ and 43%
‘No’. Those that responded positively identified the following as the type of
accommodation that was needed:
wide range of accommodation
leisure business accommodation and accommodation for smaller events/trade
shows
higher quality accommodation e.g. 4/5*
Those that responded with a ‘no’ stated the following as reasons why there is no
room for further growth:
need to concentrate on maintaining the number and quality of existing guest
house accommodation as it is in high demand
increase in budget accommodation from multiple chains has impact on
independent hoteliers
larger hotels need to invest to improve the standards of their offer
The majority of establishments that responded have a dining room (71%), whilst
only 42% have a bar. 3 out of the 7 offered meeting rooms and only 1 hotel
offered other facilities such as a spa, courtyard and conference facilities.
Only 2 responses to the question about average annual room occupancy were
received. These responses showed that the average annual room occupancy
remained fairly static over the three years between 2011 and 2014 and ranged
between 50 – 80%.
The range in the rack rates charged for different room types by respondents was
as follows: between £55 and £250 for a single room; £79 and £380 for a twin
room; £79 and £399 for a double room; and £92 and £430 for a family room.
Guest stayed an average of two nights at the establishment.
With regard the number of full time staff employed, two establishments employed
zero full time staff; three establishments one - two full time staff; one employed
20 and one employed 50.
Five respondents identified that they had experienced denied business nights
ranging from two-three rooms occasionally to lots during major events. All
respondents to this question stated that the reason for this was because they
were fully booked.
One respondent did not complete any of the question s relating to the Local Plan
and therefore the remaining analysis of the questions is based on six responses.
83% (five) stated that the Local Plan should retain a similar policy to the existing
Local Plan Policy TRX.
Three respondents t felt that the policy should protect establishments with 20+
bedrooms, one felt it should cover all tourist accommodation and one felt it should
apply to establishments with 10+ bedrooms.
Only one respondent felt that protection should be extended to other types of
establishments other than hotels.20 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
5 Analysis
50% of respondents felt that the current period for demonstrating viability of three
years in Harrogate Town and two years elsewhere in the district is still appropriate
whilst the remainder suggesting varying periods ranging from one year in Harrogate
and the rest of the district and two years in both.
50% of respondents (three) felt that it was necessary to identify land in Harrogate
for new hotel development.
83% of respondents (five) stated that local planning policies should encourage
the expansion of existing establishments.
Respondents also made a number of additional comments on the health of the
tourism industry in Harrogate and on the content of a local planning policy. These
comments included:
more parking should be created to increase footfall and spending;
do not encourage cheap accommodation and late night drinking;
façade on Kings Road, between Cheltenham Mount and Parliament Road
facing the Exhibition Halls gives a very poor impression to visitors;
limit the change of use of pubs;
Harrogate needs a 5* hotel; and
need to invest in new attractions
Review of Planning History
5.14 The review of planning history has identified 12 applications resulting in a gain to
bedroom stock that have been approved since the 2011 study however some of these
are replacement applications for ones determined earlier. In total, these applications
if implemented would result in a gain of 583 bedrooms. These applications involve
the creation of 7 new establishments (442 new bedrooms) including a new 298 bedroom
hotel at Flaxby and the extension/alteration of 4 establishments to provide a further
141 bedrooms. In terms of location, 198 bedrooms would be created in Harrogate
town, 45 in Ripon and the rest in the countryside. Overall, since 2004 and the
introduction of Policy TRX, applications have been determined that would result in a
gain of 878 bedrooms.
5.15 Appendix 6 shows that 14 applications resulting in a loss to bedroom stock have been
approved since the 2011 study. In total, these applications if implemented would result
in the loss of 163 bedrooms which amount to 237 since May 2004. All of these
applications involve the conversion of the existing hotel/guest house to a dwelling/s.
In terms of location, only one application for the Hob Green Hotel, Markington was
outside one of the three main towns of Harrogate, Knaresborough and Ripon and 11
of the applications were in Harrogate town with a loss of 134 rooms.Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 21
Policy Recommendations 6
6.1 The Visitor Accommodation Study 2011 detailed a number of policy recommendations
for the Sites and Policies DPD as follows:
Need to retain a protection policy such as TRX
Policy threshold is lowered to protect establishments with 25 or more lettable
rooms
Not considered necessary to identify new land for the development of visitor
accommodation
6.2 As highlighted by the 2011 Visitor Accommodation Study and this 2014 update, the
district’s tourism and business conferencing sectors are important contributors to the
vitality and viability of the district. The strength of both these sectors is intrinsically
linked to the provision of a sufficient range and quality of visitor accommodation in
accessible locations and in particular within Harrogate town, the district's only
sub-regional centre and the focus for tourism activities and business conferencing.
6.3 The results of the questionnaire highlighted the support of businesses to retain a
planning policy similar to the current Local Plan Policy TRX to prevent the loss of hotels
unless it can be demonstrated that the business is no longer viable and that it has
been marketed effectively for an appropriate period of time. The results of the
questionnaire can be viewed in Appendix 4.
Setting an Appropriate Size Threshold for Policy Protection
6.4 There clearly was a low response to the visitor accommodation questionnaire however
those that did reply (five) gave opinions about various thresholds ranging from protecting
all accommodation to 20+ bedrooms. None of these respondents wanted the policy
to be more relaxed by making the threshold higher than the existing 30 bedrooms in
Policy TRX.
6.5 It is considered unreasonable to develop a policy that contains a universal presumption
against the change of use of visitor accommodation to other uses. There has always
been a market in changes of use to and from smaller establishments to other uses
and this has not been a cause for concern as a balance has generally struck between
gains and losses. The review of visitor accommodation since 2011 has shown that
overall in the district, 13 establishments have closed (none having more than 18
bedrooms in total) and there have been four gains. Overall, there has only been a
loss of 69 bedrooms. This study has shown that smaller establishments also make up
a smaller proportion of the overall bedroom stock in the district (see para 5.4). Their
contribution to the total occupied bedroom stock is therefore comparatively small, and
certainly disproportionate to the number of establishments of this size present in the
district.
6.6 By comparison, larger hotels make up a greater proportion of the total bedroom stock
in the district (see paragraph 5.4) and also tend to have higher room occupancy rates
than smaller establishments. Therefore their loss has a significant impact on the
availability of visitor accommodation, on the local economy, and on local employment
opportunities. Larger establishments are also harder to replace when lost due to the
lack of suitable, available and viable land or premises in most locations, and particularly
within Harrogate Town.
6.7 The review of planning permissions highlighted that since Local Plan Policy TRX was
adopted, all except one of the establishments lost have under 30 bedrooms. The
exception to this is Grants Hotel in Harrogate which although contrary to Policy TRX
because of having 30 rooms was able to pass the criteria of TRX by providing the22 Harrogate Borough Council Harrogate District Visitor Accommodation Study 2015
6 Policy Recommendations
relevant marketing information to show that there were viability issues with the hotel.
This hotel has a total of 41 bedrooms compared to the 237 bedrooms lost between
May 2004 and August 2014 although at the time of this study the hotel is still trading.
This position could either indicate that in the majority of cases Policy TRX has been
successful in protecting larger scale establishments from change of use or
redevelopment, or simply reflects the position that larger establishments are generally
more viable than smaller establishments and more resilient to changes in the market.
There tends to be a higher turnover in smaller establishments due to pressures of
completion, because they are generally more susceptible to a downturn in the market
and because of the wishes of their owners.
6.8 The review of visitor accommodation in the District has shown that should the threshold
for protection be increased to establishments with 40 bedrooms or more than 5
additional existing establishments would not be protected by the policy. However,
these include a number of establishments important to the continued vitality and viability
of some of the District’s towns and larger villages such as the Crown Hotel in
Boroughbridge, the Unicorn in Ripon, and Swinton Park Hotel near Masham.
6.9 If the threshold was reduced to establishments with 10 or more bedrooms this would
offer protection to a further 33 establishments with a combined total of 534 bedrooms
(or 18% of the total bedroom stock in the District), however , most of these
establishments are small, family run, guest houses. Alternatively, if the threshold was
lowered to cover establishments with 20 bedrooms or more this would offer protection
to an additional 6 establishments, the Kings Head Hotel in Masham, The Studley Hotel
in Harrogate, The Balmoral Hotel, Harrogate, The West Park Hotel, Harrogate, The
Boars Head, Ripley and The Dower House Hotel, Knaresborough. These
establishments provide a total of 158 bedrooms, and are considered important for
different reasons. Currently no establishments offering visitor accommodation in
Masham are protected by Local Plan Policy TRX. The Kings Head Hotel has 27
bedrooms and is located in the centre of the town on Market Square and is therefore
considered important to the continued vitality and viability of Masham. The Boars Head
Ripley is the only establishment in the village of Ripley and provides valuable visitor
accommodation (25 bedrooms) which complements the visitor attraction of Ripley
Castle nearby. This hotel previously had 40 bedrooms and therefore was protected
under Policy TRX but having reduced its bedrooms to 25, it would not be protected
under the terms of the existing Policy TRX. The Studley Hotel with 28 rooms, The
Balmoral Hotel with 24 and The West Park Hotel with 25 rooms are situated on the
edge of Harrogate town’s shopping centre and only a short walk from the HIC. These
establishments are therefore ideally located to cater for both tourist and business trade
in the town.
6.10 The 2011 study recommended lowering the protection threshold to 25 bedrooms as it
identified only two hotels in the 20-29 bedroom category and these both contained
25+ bedrooms. This update however has identified a further four hotels that fall into
this category. It is recommended therefore that the policy threshold is lowered to
protect establishments with 20 or more lettable bedrooms in order to offer some
protection against the loss of these establishments over the plan period.
6.11 A number of hotels such as The Boars Head at Ripley and The Dower House Hotel,
Knaresborough have also undergone refurbishment and alteration which has reduced
the number of bedrooms available but increased the offer in terms of quality. Reducing
the threshold further protects hotels which have undergone refurbishment and reduced
the number of rooms.Harrogate District Visitor Accommodation Study 2015 Harrogate Borough Council 23
Policy Recommendations 6
The Need to Allocate Land for Hotel Development in Harrogate Town
6.12 It is important to encourage the retention and establishment of a wide range of
accommodation types and sizes to offer the maximum choice to visitors in terms of
price, quality and experience. 50% of respondents (three) to the questionnaire felt
that there was no need to identify land in Harrogate for new hotel development, but
83% (five) also felt that planning policy should encourage the expansion of existing
establishments in the district.
6.13 Figures from the Harrogate International Centre provided as evidence to support the
adoption of Local Plan Policy TRX identified that the number of rooms in Harrogate
town fell from 2,320 rooms in 1995 to 1,880 rooms in 2001. The review of
establishments undertaken as part of this study has identified that there are currently
1861 bedrooms available in 67 separate establishments in Harrogate town, and that
the majority of these rooms are provided in a small number of large hotels. Although
the total number of rooms available in the town has remained relatively static, in general,
the quality of accommodation on offer in the town has improved since 2004. Also,
other types of visitor accommodation such as serviced apartments are becoming more
commonplace, a trend likely to continue.
6.14 The review of planning application history also demonstrated that since May 2004
planning permission was granted to develop a further 273 bedrooms in Harrogate
Town and 626 bedrooms elsewhere in the district, either involving the creation of a
new establishment or by way of an expansion to an existing business. In contrast only
around 172 bedrooms in Harrogate town and 65 in the rest of the district would be lost
through planning permissions granted during the same period. A number of these
applications also have not been implemented and remain trading. With the continued
importance of the conference and exhibition business in Harrogate and potential long
term improvement s to the Yorkshire Showground, it remains important to protect
existing hotel accommodation and create the conditions for the continued expansion
and improvement of visitor accommodation in the district. However, it is not considered
necessary to identify land in the forthcoming Local Plan for the development of new
visitor accommodation.
Next Steps
6.15 The information gathered in this study will be used to inform the emerging planning
policies to be contained within the Local Plan. It is recommended that the Local Plan
contains a policy to both protect existing accommodation and encourage existing
establishments to expand and improve, particularly those in sustainable locations, but
that there is no specific need to identify land for the development of new visitor
accommodation within Harrogate town.
6.16 The council is presently preparing a Town Centre Strategy and Masterplan for
Harrogate, the results of which will also be used to inform the emerging Local Plan.
6.17 This update to the 2011 study has shown the need to lower the threshold for hotel
protection from 30 in Policy TRX to a recommendation in this study to 20+ bedrooms.You can also read
